United NationsDevelopment Programme Office

Capabilities and Human Development: Beyond the individual—the critical role of social institutions and social competencies by Frances Stewart

OCCASIONAL PAPER 2013/03 Frances Stewart is Emeritus Professor of Development at the University of Oxford. She has an honorary doctorate from the University of Sussex. In 2009 she received the UN award for lifetime services to Human Development and in 2013 was awarded the Leontief Prize for Advancing the Frontiers of Economic Thought. Her books include Technology and Underdevelopment (Macmillan, 1976) and Planning to Meet Basic (Macmillan, 1985). She was a co-author of UNICEF’s influential study Adjustment with a Human Face (OUP, 1987) and War and Underdevelopment (OUP, 2001) and lead author and editor of Horizontal Inequalities and Conflict: Understanding Group Violence in Multiethnic (Palgrave, 2008).

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Capabilities and Human Development: Beyond the individual—the critical role of social institutions and social competencies

FRANCES STEWART*

ABSTRACT

Social interactions are a quintessential part of human life, and their quantity and quality determine a person’s social or relational capabilities (capabilities involving relations with others). In addition, social institutions and social competencies play a critical role in advancing capabilities and shaping individual choice. Social institutions (norms and organizations) operate collectively (defined here to exclude the government and the private sector). Social competencies are what social institutions can do or be. As well as an important instrumental role in creating and enhancing particular capabilities, social institutions help shape individual preferences and behaviour so that individuals cannot be assumed to be fully autonomous. Finally, relations among people and institutions determine whether a is peaceful, cohesive and inclusive. This paper analyses some policy implications arising from this analysis—aimed at promoting well-functioning social institutions likely to advance human development.

INTRODUCTION choices and thus translates the potential to be or do a variety Individuals cannot flourish alone: Indeed, they cannot func- of things into actual beings or doings, or what are called ’func- tion alone. When they are born, the family provides their life tionings’. It is these functionings that we observe. The human support. In turn, families cannot function independently of development approach tends to focus on functionings rather the societies in which they are located. Being a member of a than abilities because of its major concern with assessing pro- family, of a locality and of the larger society is an essential gress, since functionings can be observed and measured. It is component of a flourishing existence. Since these groupings much more difficult to measure capabilities, although there can provide good or bad conditions for the individual, it is have been a number of attempts, both theoretical and empiri- not only their existence but also their nature that is relevant to cal, e.g.,(Burchardt and Le Grand 2002; Anand, Hunter et al. human development. Thus a major task of the human devel- nd; Schokkaert and van Ootegem 1990). Nonetheless, like opment approach—which aims to assess human progress and the , the human development approach identify the conditions for human flourishing—is to explore maintains that of individual choice is a central aspect the nature of social institutions that are favourable for human of satisfactory development. As stated in the 1990 Human flourishing, as against those that impede it. Development Report, “Human development is a process of The capability approach, developed by Sen (1999) and enlarging people’s choices” (UNDP 1990, p. 10). This implies Nussbaum (2000), provides the theoretical underpinning that if we could show that a set of functionings was not chosen of much discussion of human development. It is essentially freely, this would constitute a serious defect, even if the actual individualistic. Development consists of the expansion of set of achieved functionings was deemed to be good. individuals’ capabilities or . These are defined as Whether we are discussing capabilities or functionings, what a person can be (‘beings’) or do (‘doings’). The objective progress is assessed by how individuals are affected. In this of development is then to expand the set of capabilities of respect, the different approaches share the views of the utili- each individual. From this capability set, an individual makes tarian approach, which they aim to replace. How does this

*I am grateful to Gustav Ranis, Maurice Kigler, Seeta Prabhu, Bina Agarwal and the Human Development Report Office (HDRO), and to all who contrib- uted to discussions held in seminars at UNDP, the HDRO and UNDP New Delhi for their very useful comments on an earlier draft of this paper.

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individualism relate to the essentially social quality of human 1. SOME DEFINITIONS existence? In principle, the individualism of the capability approach and the social features of human life appear quite We to start with definitions. Social institutions are under- compatible. Expanding individual capabilities forms the end, stood here as all institutions in which people act collectively or the objective, while identifying and promoting good social (i.e., involving more than one person), excluding profit-making institutions is a means to this objective. Yet in two ways the market institutions and the state. They include formal non-gov- primacy of individualism in the capability approach is at odds ernmental organizations (NGOs); informal associations, such with the flourishing of social beings. First, individuals are so as neighbourhood associations or social clubs; cooperatives and bound up with others that it can be difficult to disentangle producer associations; sports clubs and savings associations; them and treat them as separate. As Etzioni (1993) stated: and much more. They influence, and are influenced by, both “(A) basic observation of sociology and psychology is that state and market. While both state and market have been subject the individual and the community ‘penetrate’ one another and to much investigation in relation to the human development and require one another, and that individuals are not able to func- capability approaches, the role of collective activities outside the tion without deep links to others” (Etzioni 1993, p. 65, italics state and the market has been given a much less central place. added). We shall explore whether this means that the strict Following North’s (1990) broad definition of institu- means/ends nexus partially breaks down. Second, as a conse- tions as “humanly devised constraints that structure political, quence of the emphasis on individual choice and individual economic and social interactions,” social institutions include flourishing, there has been a tendency in human development norms and rules of behaviour. They thus encompass both analysis to neglect the study of social institutions and com- organizations, such as those listed above, and norms, which in petencies. This is not to claim that the capability or human each case may be formal or informal. Social norms influence development approaches entirely ignore the importance of the behaviour and are consequently important in determining the social as instrumental—for example, Sen 1999, UNDP 1993, human development impact of goods and services intended to and Drèze and Sen 1989—but that they have given it insuf- promote human development, whether provided by the state, ficient emphasis. Moreover, Sen has gone beyond recognition the market or social organizations. Social competencies are of the instrumental aspect of social arrangements1 to hint at defined here as what such institutions can be and do—i.e., a more fundamental role that society plays in determining they are in a sense the capabilities of institutions, as against individual capabilities: “(I)n valuing a person’s ability to take those of groups. We do not use the term ‘social capabilities’, part in the life of the society itself, there is an implicit valua- leaving capabilities to refer to valuable things that individuals tion of the society itself, and that is an important aspect of the can be or do, and which they have reason to .2 capability perspective" (2009, p. 246). Social competencies are needed, first, for all activities that, This paper aims to explore these issues in order to consider by their essence, can only be done in a group and not individ- how the social can be better integrated into the human devel- ually; and second, for many activities that in principle could opment approach—in analysis, research and policy. The paper be carried out by individuals alone, but that could be carried is organized into four parts. Part One will consider some defi- out much more effectively if done collectively. Examples of nitional issues. Part Two explores ways in which social compe- the first type are a football team, a book club, an orchestra, a tencies are important for individual flourishing, in order both neighbourhood group, a policing group, an army, a library, a to show how important they are and to lay down the broad social club or dating agency, a group to protect the environ- boundaries of what we are discussing. Part Three considers fac- ment and communal worship. Examples of the second include tors relevant to assessing social well-being at an aggregate level, a mass of activities where there are economies of scale, so that going beyond particular social institutions to societal relation- doing things individually is highly uneconomic; the provision ships, and discussing the concepts of social cohesion and social of services is an example. There are some organizations inclusion. Part Four will consider implications of the previous to which both arguments apply—for example, , analysis for the human development approach, including for where there are clear economies of scale, so providing it col- research, data collection and policy recommendations. lectively is more economic, but there are also intrinsic virtues of collective provision since social interaction among children is important in itself as part of the educational experience.

1 Sen 1999, p. 116, refers to “the advantage of group activities in bringing about substantial social changes.” 2 Roy 2012 has suggested that these should be termed relational capabilities.

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Some of these activities could be provided by the mar- and competencies affect the functioning of all other societal ket—e.g., private sports clubs or privately provided educa- institutions, including both state and market institutions; and tion. Where there are large externalities, however, market (d) they affect the power and influence of particular groups provision will not occur, and any collective action needs to be (and individuals in these groups) at the macro-, meso- and provided either by the state or by non-state social institutions micro-levels. At macro-levels, they influence the policy choices (or some combination). The division of responsibility between governments make, and thereby the level and distribution of state and non-state institutions varies across countries (and capabilities. Similar effects can be observed at meso- and micro- time). For example, there is more of a tradition of state provi- levels. Moreover, they also influence the terms individuals expe- sion of social competencies in Europe, and especially northern rience in market activities—wages and conditions, generally. Europe, than in the United States, where non-state groups play Societies vary hugely in the number, functions, effective- a bigger role. There is also often a blurring of the distinction ness and distributional consequences of social institutions, between state and non-state because the state often subsidizes and consequently in the range of social competencies that the non-state activities (e.g., subsidies to the arts and sports). may contribute to advancing human development. While con- But some activities cannot be carried out by the state. siderable work has been devoted to cataloguing variations in Basically, all the type collective action the state and the market across countries, and reasons for and described above is non-state, and indeed arises partly in order consequences of these variations, the same sort of cataloguing to gain control over the state or to pressure it to take some has rarely been carried out for non-state social institutions. action. Non-state social institutions therefore supplement Exceptions are (Oxhorn, Selee et al. 2004; Edwards 2004) state activities in areas where there are large externalities, or studies of civil society, while anthropologists have analysed where the market would fail because people are too poor to the more amorphous social norms and mores in many par- buy items considered, by the state or by particular groups, ticular communities, although much less has been done in essential or high priority—like universal education or health describing and cataloguing then at national level. Yet ‘good’ services. They also provide services that the state may regard social norms from the perspective of human development can as lesser priority (e.g., libraries or theatres). They act where make a large difference to behaviour, and consequently to the state cannot, as in political and social movements. capabilities and human development outcomes. Turning to rules, regulations and social norms: While the state is responsible for manifold laws and regulations, infor- THE IMPACT OF SOCIAL INSTITUTIONS AND mal norms, which we call here social norms, are by defini- COMPETENCIES ON INDIVIDUAL CAPABILITIES tion outside the control of the state. They are the outcome of To illustrate this, it is helpful to consider a list of some cen- innumerable social interactions over time—among individu- tral capabilities. Though Sen has resisted drawing up a list of als and social institutions, and also through market influ- specific capabilities, arguing that it is for individuals and their ences. They can, however, be influenced by deliberate actions collective deliberations to determine the capabilities they have by both state and non-state actors. reason to value, there have been many attempts to delineate the main conditions needed for human flourishing. Table 1 summarizes six such efforts. 2. WHY ANALYSIS OF SOCIAL INSTITUTIONS Drawing on the nine different dimensions of capabili- OR COMPETENCIES IS ESSENTIAL FOR ties in Table 1, Table 2 points to the role of social institu- HUMAN DEVELOPMENT tions in underpinning each of these. Besides the state and the market, social institutions, including the family, community Social institutions and social competencies are critically impor- and neighbourhood associations, trade unions, social move- tant in determining individual capabilities because: (a) they ments, political parties and NGOs are all important in influ- have a direct impact on them—since most individual capa- encing the production of different capabilities. Social norms bilities could not exist without social competencies; (b) societal also play a critical part in determining behaviour, which in institutions (in particular families) have a critical role in form- turn affects capability sets. Not all social institutions have a ing the character of individuals and consequently they (together positive impact: For example, norms of discrimination can be with social norms) affect the choices people make within any adverse for employment, education, health, and the material capability set and the behaviour of individuals towards others, and mental well-being of some groups (including women), thus affecting other people’s capabilities; (c) social institutions while criminal gangs and warring groups undermine security.

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Table 1: Requirements for human flourishing

DIMENSIONS OF Rawls1971 Finnis, Boyle et al. Doyal and Gough 1991 Nussbaum 2000, 2007 Narayan 2000 Camfield 2005 CAPABILITIES

Basic needs and Central human Defining concepts: Primary goods Basic human values Dimensions of well-being intermediate needs functional capabilities

Bodily well-being Bodily life—health, vigour Physical health Life Bodily well-being and safety -Nutrition: food and Bodily health Access to health services water Bodily integrity Good physical environment -Health care -Safe birth control and childbearing -Safe physical environment Material well-being and wealth Protective housing Material well-being Food Economic security Food Shelter Assets Mental Knowledge Basic education Senses Education development Practical reasonableness Imagination (Bangladesh Thought and Ethiopia, Emotions not Thailand or Practical reason Peru) Play Work Freedom of Skilful performance in work Work Lack of discrimination Work occupation and play Good relations at work Security Physical security Civil peace Physically safe environment Lawfulness (access to justice) Personal physical security Security in old age Social Social bases of self- Friendship Significant primary Affiliation Social well-being Family relations respect relationships Social bases for self- -Family respect -Self-respect and dignity -Community relations Spiritual Self-integration Religion well-being Harmony with ultimate (important in source of reality Bangladesh and Thailand) Rights, liberties, Autonomy of agency Control over one’s Freedom of choice and and opportunities Civil and political rights environment action Powers and Political participation prerogatives of office and positions of responsibility Freedom of movement Respect for other Other species species

Source: Adapted from Ranis, Stewart et al. 2006, using material derived from Alkire 2002; Doyal and Gough 1991; Narayan 2000.

There are possible conflicts in the conditions needed to main dimensions of human development as defined above achieve different capabilities—for example, between material (Ranis, Stewart and Samman 2006), indicating that condi- well-being and environmental conditions, at least in the short tions that give rise to some capabilities may not be conducive term; and possible trade-offs between the growth of market to others. Second, when grouping the characteristics into four influences, which may improve material well-being, and con- broad categories—basic human development as measured by ditions conducive to capabilities that depend on having a the , and social, economic and cohesive society. This is supported by some empirical work political aspects of development3—few countries do well or suggesting that particular institutions may favour some out- badly on all categories. Most tend to show mixed perfor- comes but not others. In the first place, research shows that there is not a high positive correlation among many of the 3 Ranis, Stewart et al. 2009. See the Annex for more information.

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Table 2: Role of social institutions in affecting major capabilities

DIMENSIONS OF CAPABILITIES Social organizations Social norms

Bodily well-being NGOs, communities and families provide goods and services Norms of health behaviour Attitudes to violence

Material well-being Cooperatives Attitudes to employment NGOs Discrimination Family (including remittances) Producer and workers’ organizations

Mental development/well-being Family and community effect Social norms (positive or negative)

Work Workers’ associations Norms towards female and child work

Security Warring groups and criminal gangs (negative) Societal norms Community associations (positive)

Social relations Family and community Clubs and associations

Spiritual well-being Religious organizations Societal norms

Empowerment and political freedom Political parties Norms of hierarchy and discrimination Social movements Peoples’ associations as basis of empowerment

Respect for other species and for Community action Norms of behaviour natural environment NGOs

mance, doing better on one aspect (e.g., social) and worse affect distribution of capabilities, for example, across gen- on others (e.g., economic or political) and conversely (see ders. The previous section sketched how norms contribute Table A.1). This suggests that we may not be able to identify to behaviour that affects capabilities. We now consider how institutions that are good (or bad) for human development social norms affect choices among capabilities. as a whole, but rather those that are good or bad for some A critical building block of much capability and human aspects of it. development analysis (as well as economists’ analysis of wel- fare) is that individuals are autonomous and make their own Social institutions, norms, choices and individual decisions in the light of their own preferences, personality, etc. autonomy While the aim of development is to expand people’s capabili- Individual behaviour is influenced by norms, a form of social ties, the individual has the responsibility of choosing which institution with a powerful impact on human behaviour. capabilities to make use of, which to develop, and so on. Social norms include both moral commandments (often Underlying this is the assumption that the individual knows sanctioned by religion) and numerous norms without a clear best what he or she wants and is ethically the right person to ethical basis that affect behaviour in general or in particular make these decisions. This position only makes sense if the situations. An example of the latter is a norm, prevalent in individual is truly autonomous, however. Two major influences many Latin countries, that people take a siesta in the after- on individual choices that arise from social institutions limit noon. Almost every action we take is influenced by some this autonomy. First, family (and societal) norms help form norms—for example, in relation to noise-making (or not), an individual’s character, ideology, preferences and behaviour; ways of dealing with people (levels of politeness and social secondly, social norms—outside the control of the individual, distance, etc.), cleanliness, punctuality, technology use, and so and formed by interactions among individuals and social, state on. Some norms are related to health behaviour and directly and market institutions within society over time—greatly influ- affect health capabilities; others influence the effectiveness of ence and sometimes constrain individuals’ choices. Consider particular institutions—e.g., the norm of doing homework is child labour: Individual decisions on this are affected by social helpful for improving the learning impact of school. Some norms, such as considering it fine for children to work, as in

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many developing countries, or outrageous, as in some western may be the appropriate choice in many situations, but it cannot countries. It is not the child, usually, but the family (parents or be justified as the best option without qualification, given the grandparents) that makes the decision for the child. In other way that individuals and their choices are socially formed cases, the community constrains free choice by ostracizing, or influenced. If this is the approach adopted, it needs to be stoning or even killing people who make choices—e.g., of mar- accompanied by various policies encouraging the individual to riage—that contravene social rules.4 make ‘good’ human development choices. These include efforts It follows that the autonomous individual is somewhat of to improve information about the options and consequences of a myth—doubtless it represents the aspiration and belief, and certain behaviours. Secondly, policies are needed towards social possibly a near reality, among those philosophers who make it institutions to help provide a favourable context for individual an essential component of their analysis. But most people are choice, so as to increase the positive impact of social institutions far from a position of complete freedom of choice: They have on individual choices and reduce their negative impacts. In degrees of freedom, but their choices are heavily influenced some situations, this may justify regulation, reducing the free- by norms and institutions (market as well as social), with the dom of choice of some individuals. Thirdly, since individuals extent of freedom varying across societies. Hence we cannot themselves contribute to forming social institutions, and their ignore social institutions, nor the influence exerted by the decisions often affect other people, there is a need to encourage market, but must assess these to see whether or not they are individuals to make decisions that are positive in these respects. promoting choices that enhance human development. Indeed, These are complex areas where judgement is required. we may go further and try to promote social institutions that Because of the influence of social norms on behaviour and the we think will advance human development, and to deter or impact of individual behaviour on others, it is not justified to prevent those that are deleterious to it. leave all decisions to autonomous individuals. Yet there are no But once we agree that the individual is not autonomous, simple rules about how much it is justified to influence indi- given the influences of institutions and norms, and hence not vidual behaviour, nor about who should do the influencing. necessarily the best judge of human-development-promoting This can be illustrated with a few examples: capabilities, we enter very difficult territory, because we can no longer rely on individual decisions to be ultimately the • Healthy behaviour involves hand-washing and the use of right basis for maximizing human development. It is here that bed nets in malaria-affected areas. To achieve this, a family Etzioni’s (1993) statement becomes particularly meaningful: needs certain material (water, soap and bed nets). i.e., “(T)he individual and the community ‘penetrate’ one They also need to change behaviour, and this requires a another” (p. 65, italics added). There are several routes we change in norms of behaviour, which can be affected by might follow from this conclusion: information via the education sector, the media and/or One is to take the decisions out of the hands of individuals leaders. Evidence suggests that simply providing bed nets, and give them to the state. Yet this is unsatisfactory on many for example, without changing norms, results in only a grounds and poses real constraints on individual autonomy. minority of people using them (Banerjee and Duflo 2011). How can the state be trusted to know, and if it knows, to Moreover, to secure such a change may require overriding make the best decisions? Even if it is democratic, the state will the preferences of children (to sleep without bed nets). not be able to take into account the aspirations and capaci- • Another type of healthy behaviour is to stop substance ties of each individual, and is likely to be swayed by particu- abuse, including consumption of tobacco, alcohol and lar interests; moreover, there is clear value for individuals in drugs. Here, information and restrictions on the sale of having a significant degree of control over their own lives. these items (or their taxation) are recognized as desirable. A second route is to ignore the arguments above and leave such decisions to the individual as usually recommended in • The long-run well-being of a child (health, earnings, etc.) analysis of human development. We should recognise that this is likely to be affected by whether or not he or she goes to school. Here the family has to be persuaded, induced

4 We should note that what we now regard as social norms with negative or compelled to send the child to school, possibly at the impacts on human capabilities are by no means confined to low-income expense of loss of earnings from child labour. societies. ‘Negative’ social norms in relation to homosexuality or to race, for example, were pervasive in Western societies until recently and • Equality of opportunities for women (and some ethnic or still apply in parts of society. What Western societies approve of in rela- tion to restrictions on the freedom of people labelled ‘terrorists’ and the racial or religious groups) may require a major change in treatment of animals may well be regarded as abhorrent in the future.

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SOCIAL INSTITUTIONS AND POWER social norms in some societies as well as restrictions on discriminatory behaviour. Policy change is the outcome of a political struggle in which different groups (and individuals) provide support for par- • Families can be trapped in by informal norms that ticular changes. In this struggle, uncoordinated individuals support early marriages and dowry requirements. are generally powerless. They are also powerless to improve In each of these examples, it is assumed that there are the conditions they face in the market. Yet by getting together some dominant or overriding objectives—of promoting to support particular changes, individuals can acquire consid- health, child education or gender equality—that justify poli- erable power collectively. As the Dominican Republic’s 2008 cies to change social institutions and restrict individual choice. Human Development Report states: “El empoderamiento Yet individuals, and indeed societies, may reject these objec- individual y el colectivo, para sersostenibles, tienen que ser tives—for example, some societies appear to reject the objec- simultaneous” (individual and collective empowerment can tive of gender equality (although this could be predominantly only be sustained together) (UNDP 2008).5 the male view). Should those who wish to advance human Groupings of people that have been effective in support- development override local views where they are inconsistent ing change include producer groups, workers’ associations, with the assumed dominant objectives? Nussbaum (2000) has social movements and political parties. Organizations unit- suggested that this is a false dilemma, and indeed that there is ing people are especially crucial for poorer people, since rich a broad and shared ‘overlapping’ consensus on many values; individuals can exercise influence through their wealth. The similarly, Sen (1997) has argued that despite a large diversity power conferred by social institutions that unite people to of views, many Asian thinkers value freedoms as much as, support particular changes can be observed at many levels: and in a similar way to, many Western thinkers. Nonetheless, in practice there do appear conflicts between the values • Even among the very poor and marginalized, unity can espoused within and across societies. One justification that improve people’s conditions by enabling them to bargain has been put forward for giving primacy to certain objectives effectively with employers or the state. For example: is by appealing to universal human rights as the ‘final court’ ŊŊ An analysis of sex workers in Calcutta shows how (Vizard 2006). But some question these human rights as a one of the most diverse, fragmented, internally com- Western-imposed conception (Mutua 2001). petitive and conflicted sets of individuals organized This section has shown that social institutions do indeed into a single group, and improved their conditions penetrate the individual, in the sense of contributing to the way and their self-respect (Gooptu 2002). they see the world and the choices they make. Consequently, it is not always possible to make a clear distinction between an ŊŊ Similarly, women in a squatter community in Cape ‘autonomous’ individual and prevalent social institutions. It Town (Crossroads) came together to form a highly follows that social institutions, and particularly social norms, successful action group that challenged state-spon- should themselves be an object of policy so as to promote insti- sored eviction attempts and was even instrumental tutions that foster conditions conducive to creating capabili- in the overthrow of apartheid. The group increased ties, and also influence individual choices among capabilities their strength by seeking the assistance of middle- in a positive way from the perspective of elements agreed to be class rights groups and soliciting media publicity for important in human development, such as promoting health their cause (Kaplan 1997). and education, and limiting violence and substance abuse. ŊŊ Scavengers, who sell waste to middlemen, are truly If we believe that one set of outcomes (and choices) is marginalized—associated with disease and squalor, superior to another from a human development perspective, perceived as a nuisance and probably criminal, and then we need to try and change social institutions so that exploited. Studies in Asia and Latin America have they favour such outcomes. This assumes that we can agree found the scavengers receiving some 6 percent of broadly on human-development-promoting activities and the price industry pays to the middlemen. In the outcomes, whether by discussion and consensus or by appeal 1990s, the organization of scavengers into groups to human rights conventions. A big issue is who ‘we’ are in this context. Should these decisions about human develop- ment priorities be determined at a local level, national one or 5 The report investigates many of the relationships among collective ac- tion, empowerment and human development outcomes—see Diagram globally in the light of values shared by the global elite? 1.4. It also develops individual and collective empowerment indices.

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resulted in successful cooperatives that significantly degree because of weak state action. The authors improved the conditions of members. In Colombia, attribute this to weak institutions at the intermedi- for instance, the cooperative Recuperar in Medellin ate level: “(I)f the intermediate level is controlled by by the mid-1990s had almost 1,000 members, 60 political parties that are fragmented, corrupt and percent of whom were women. Members earned 1.5 prone to personalism and favouritism, then the con- times the minimum wage, and were eligible for loans nections go sour” (p. 23). and scholarships from the coop (Medina 1998). ŊŊ The achievements of Brazil’s Landless Workers ŊŊ Women’s groups (often organized for productive Movement (Movimento dos Trabalhadores Sem purposes, such as cooperatives, or for microfinance) Terra, or MST) provide another example: “Over have been shown to empower women (Chen 1983; the course of the MST’s twenty-five years of work, Mahmud 2002, Kumar and Quisumbing 2010, it has expropriated some 35 million acres, that Agarwal 2010). is now occupied by roughly a million families. The settlements, which are cooperatively organized, are • At a meso-level, people organized by ethnicity, occupa- home to hundreds of MST-built schools, which have tion, race or gender can improve their position if they enabled tens of thousands of people to read and overcome their internal fragmentation, and unite to lobby write” (Dangl-Znet 2009). effectively for improved conditions and policy changes. ŊŊ In Cochabamba in Bolivia in 2000, there was a For example: “Water War, a popular uprising that kicked out ŊŊ The Orang Asli in Malaysia forged a single iden- Bechtel, a multinational company that had privat- tity, encompassing 18 different groups, including ized the water in everything from communally built different customs and languages, to negotiate for wells to rain cisterns. Many citizens from across the improved conditions. The Peninsula Malaysia Orang economic spectrum couldn’t afford the exorbitant Asli Association (POASM) has been formed to help rates set by the company, so they joined together protect Orang Asli culture and people in terms of in protests and road blockades, sending Bechtel treatment by the state. packing and putting the water back into public hands” (Dangl-Znet 2009). ŊŊ Similarly, the Luhya in Kenya, also formed of 18 groups speaking different dialects, united under a ŊŊ In the state of Rajasthan in India, social movements single umbrella organization—the Luhya Elders were instrumental in achieving ‘right to information’ Forum—to become an effective force in . legislation that allowed citizens to investigate gov- Together, they form about 16 percent of the Kenyan ernment records (Goetz and Jenkins 1999). population; their vote is often decisive in elections. • At the macro- or national level, policy change favouring ŊŊ Posner (2005) has shown how in Zambia differ- human development is most likely when there are strong ent ethnic groups unite under a common political political institutions backing it. These include social banner in order to form a majority and secure power movements, workers’ and peasants’ organizations, and democratically. political parties. As Polanyi (1944) saw, the swing of the ŊŊ Muñoz, Paredes et al. (2006) compare rural indig- pendulum towards interventionism and social action does enous areas in Peru with stronger and weaker not happen automatically, but as a result of movements organizations for collective action. They show that such as these provoked by the extreme conditions that a in well-organized areas (Bambamarca and Espinar) focus on markets alone produces (Polanyi 1944, Stewart there are joint activities to promote security and 2010). Cornia and Martorano (2011) have shown how improve living conditions. In a less-organized area Latin American countries with progressive governments (Ayacucho) there is little social or economic collective have introduced policies favouring human development, action, and the Shining Path was able to exploit the including extended education, higher and more progres- situation to mobilize for violence. Even in the better sive taxation, cash transfers and raised minimum wages. organized areas, however, the indigenous peoples After years of high and increasing inequality, these were unable to improve their conditions to any great

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countries have shown some decline in it, although quite unproductive” Gott 2005, p. 220). The Hydrocarbons slowly, indicating the entrenched nature of inequalities. Law increased state revenue from oil. There was a major expansion of social services and food deliveries • Underlying political changes towards progressive govern- to the poor. Evidence suggests (though much depends ments have been long-term movements of workers and on the source of data, dates used, etc.) that these peasants. For example: changes have been accompanied by reduced poverty, and, probably, improvements in income distribution ŊŊ In India, market reforms did nothing for rural pov- (Brouwer 2007, Beezy 2008). erty, and high levels of rural underemployment and open unemployment (much of it seasonal) among ŊŊ Brazil notoriously has had one of the most unequal landless labourers and poverty persisted. A mass income distributions in the world. Lula da Silva came movement developed, based on a coalition of left- to power in 2002 with the support of the Workers wing parties and including huge popular marches, Party as well as the Movement of Landless Workers to secure a National Rural Employment Guarantee (Moviemento Sem Terra, MST). While Lula contin- scheme. The Act introducing this was passed in ued to follow orthodox , he greatly 2005. It potentially revolutionizes opportunities for increased expenditures on basic services, introduced work and income in rural India, as it guarantees 100 large-scale cash transfer programmes to reduce pov- days of work per household at minimum wages. It erty (Bolsa Familia) and raised the minimum wage. “provides an indispensable lifeline to the millions of During his presidency, the Gini coefficient measure poors in the rural areas of the country. This social of inequality fell quite sharply, from 0.59 in 2001 to security measure, for the first time makes the right 0.53 in 2007. It is estimated that 0.2 of the decline to work a fundamental legal right—a new radical was due to expanded access to education; the cash deal for India’s poor” (Pandey 2005, pp.7-8). The act transfers accounted for another 0.2. For 2001-2007, was introduced as a result of huge popular mobiliza- “the bottom six deciles, who account for only 18% of tions, themselves a reaction to the abysmal condi- income, accounted for 40% of total income growth” tions many rural poor face (Drèze 2008). (IPC 2009).

ŊŊ Hugo Chavez’ assumption of power in Venezuela in ŊŊ In Bolivia, Evo Morales was elected President in 2005 1998 and his subsequent reforms are the most far- with the support of the unions and indigenous people reaching example of a political reaction brought (he had been leader of the federation of unions, and about by workers and peasant movements to advance general secretary of the cocaleros, coca farmers, union). the conditions of the poor. Although initially Chavez A group of social movements were behind this elec- tried to gain power by military means, eventually tion, including the Unified Syndical Confederation he did so through democratic election. This election of Rural Workers (Confederacion Sindical Unica was not an isolated one-off event, but followed and de Trabajadores Campesinas de Bolivia) and the was supported by growing political movements in Assembly for the Sovereignty of the People (Asamblea favour of change. As early as the 1950s there was the de la Soberania de los Pueblos). Together, they formed Revolutionary Left Movement (Movimiento Izquier the Movement towards Socialism (Moviemento al da Revolucionaria, or MIR). Other more recent move- Socialism-Unzaguista, MAS), bringing together indig- ments included the Movement towards Socialism enous people and workers (Stefanoni and Alto 2006). (Moviemento al socialism or MAS) the Fatherland for Morales introduced a new Constitution giving more All (Patria para todos or PPT) the Communist Party power to indigenous people and more state control of Venezuela (Partido comunista de Venezuela), and over natural resources; over 60 percent of the electorate above all the Fifth Republic Movement (Moviemento endorsed more in January 2009. On V Republica or MVR), which itself was supported the social side, it introduced a small universal pension by the Radical Cause (La Causa R), a mass move- for everyone over 60; expanded education programmes, ment started in 1970. Land reforms were introduced including policies to eliminate illiteracy. The constitu- that put a ceiling on land holdings and gave the state tional vote also imposed (non-retroactive) limits on the right to redistribute those that were “idle or landownership of 5,000 hectares (Crabtree 2009).

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THE RELATIONSHIPS BETWEEN SOCIAL INSTITUTIONS, Figure 1. The relationships between social institutions and COMPETENCIES AND INDIVIDUAL CAPABILITIES individual capabilities As stated at the outset of this paper, the capabilities approach Social institutions and competencies has always defined capabilities as pertainingLow social to individuals, cohesion and further argued that the objective of development is to The state Formal non-state Informal Social norms expand individual capabilities and freedoms. We have shown Institutions institutions here the critical importance of social competencies for pro- Political pressure viding the conditions for individuals to flourish. Good social affects state policies conditions affect not only the outcomes (functionings) of Coops Family NGOs Neighborhood and individuals in a particular society today, but also those of Clubs kinship groups Laws Religious organizations Regulations Affects choices future generations (including children already born). Clearly, Political parties Goods and services and behaviour social competencies are then of huge instrumental importance Social movements

for advancing human development today and across genera- Individual’s tions. Moreover, as argued earlier, social norms affect the very Provide goods and services character affect behaviour and choices choices that individuals make—not only among the capabili- ties they may have reason to value, but those that would not

be classified as being capabilities people have reason to value, Individual capabilities and functionings such as drug-taking, abuse of others and violence. In this way, social institutions and norms ‘penetrate the individual’, making it difficult to separate them completely. We would This part of the paper has laid out three different ways in then want to encourage institutions and norms that influence which social institutions (including norms) affect individual individuals in ways that promote valuable capabilities. capabilities and functionings: first, as essential inputs or means Thus while the quality of development—valuable or non- to achieve virtually every significant capability, or important valuable outcomes—depends on what happens to individuals, dimension of human development; second, as affecting the both those alive today and across generations, the nature of choices people make; and third, as influencing individuals’ social institutions is of critical importance. When assessing relative power and consequently their market conditions, societies from a capabilities perspective, we need to include their access to politically granted benefits and the political not only today’s individuals’ outcomes (, nutri- economy of policy choices. Part Three will discuss ways of tion, education, political participation, etc.), but also the approaching a macro-level assessment of social institutions, social institutions that affect their choices and outcomes, and both in relation to the types of social institutions discussed, those of future generations. Moreover, prevalent social insti- and in relation to aggregate concepts of social cohesion and tutions, together with individual capabilities and interactions, social inclusion, which go beyond the individual institutions influence the development of social institutions and conse- considered above to the relationships across society. quently future possibilities. There are also aspects of society that affect individuals but cannot be assessed by focussing on individuals alone—those that involve, by definition, relation- 3. ANALYSING A SOCIETY’S SOCIAL ships among the individuals in a society, such as social cohe- INSTITUTIONS AND SOCIAL sion and social inclusion. COMPETENCIES This does not imply that one can have a valued outcome at a societal level while individual capabilities flounder. But The first part of the paper considered the importance of social rather that one needs to investigate the quality of social insti- institutions for individual choices, capabilities and function- tutions and social competencies as providing an essential ings. Yet when we come to consider society as a whole, we foundation for the flourishing of individual capabilities. need to go beyond the impact on particular individuals to Figure 1 presents a diagrammatic representation of some consider the totality of social institutions in a country, and of the relationships between social institutions and individual beyond that societal relationships. This section presents some capabilities. Note the two-way arrows indicating that social considerations that should inform analysis and assessment of institutions affect individuals, and in turn are formed by social institutions and social competencies at a country level. individuals. It considers the relevance of concepts that are often used in

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aggregative assessments of society, notably social cohesion Dannreuther (2003) state: ‘Social capital does not have a clear, and social inclusion, each of which go beyond particular insti- undisputed meaning, for substantive and ideological reasons’.6 tutions to consider societal relationships as a whole. And it makes suggestions for how to undertake empirical assessments MACRO- AND MICRO-ASPECTS OF SOCIAL INSTITUTIONS of social aspects of human development in particular societies. While Part Two of this paper (and Table 2) explores the relationships among selected dimensions independently, it is CLASSIFYING AND CATALOGUING SOCIAL INSTITUTIONS also useful to aggregate across dimensions and social institu- AND COMPETENCIES tions, and consider whether or not we can identify the general To assess how a society is doing in terms of social institutions, a features of major social institutions—such as the family, the first requirement is to explore the quantity and quality of social community and society as a whole—as well as general fea- institutions and social competencies in a society. This requires tures of social norms, which together provide a positive envi- differentiating those social institutions that promote human ronment for a range of dimensions of human development. development, and those that do not and may undermine it. This can be geared towards identifying social institutions that Clearly, not all social institutions and competencies are are broadly good for human development. While there can be desirable from a human development perspective. Non-state some ambiguity—e.g., a family may support the flourishing institutions and social norms can encourage anti-social behav- of some individuals, but not others (perhaps due to gender), iour—drug trading and consumption, criminality and violent or at some times but not others—it may still be possible to conflict, for example. So, to put it crudely, we have ‘good’ and identify general tendencies. ‘bad’ social institutions from a human development perspec- A cataloguing and classification of social institutions in tive. In the tradition of capabilities analysis, ‘bad’ capabilities each society might provide details of the large number of (those that people do not have reason to value) are not defined institutions in existence, and yet might miss the big picture. as capabilities, and we could do the same here, so that social In assessing social aspects, we need to be able to look at a competencies and the institutions that produce them are by society as a whole, and assess whether the social aspects of life definition desirable. An alternative approach would be to are good, satisfactory or poor. The conclusion partly depends include all social institutions and social competencies (good on the number and quality of social institutions. Yet it goes and bad), and subsequently sort them into those that promote beyond both organizations and norms. We could have a soci- human development, and those that do not, some of which ety with broadly good social institutions, yet there could be may have a negative impact on human development. This clas- dysfunctional family relationships (‘living alone’, or the oppo- sification would be more transparent, and helpful for policy site, ‘living in an oppressive family’); relations across cultures since policy should be directed at reducing the ‘bad’ institutions could be highly limited (a ‘silo’ society, as Malaysia is some- as well as promoting the good. We should note, though, that times described); there could be a high degree of hierarchy, some institutions may be good in some respects, but not in with strong social institutions at different levels of society, but others, so it may often be difficult to make a clear classification. little contact across them (a ‘class’ or caste-ridden society); Clearly, a critically important part of any cataloguing and/or economic and social mobility could be limited, which of social institutions is to classify them into those that pro- is most likely in hierarchical or silo societies, but could also mote human development, those that do not affect it, and be present in others. those that undermine human development, for two reasons: All these aspects appear to be relevant to assessing how sat- first, to assess the richness of particular societies in terms of isfactory a society is from a social perspective. While it is clearly institutions that promote human development (which could not for me to lay down rules about what makes a good society be called ‘social capital’, but this term has so many different in any of these respects, they each seem to be relevant dimen- definitions that it would be confusing to use it); and secondly, sions to consider as part of any aggregate social assessment. to identify the conditions that give rise to good or bad social It is here that concepts of social cohesion and social inclusion institutions (including norms). become relevant—these are macro-concepts aimed at assessing It might be argued that the totality of human develop- the quality of the social aspects of life for society as a whole. ment promoting social institutions is what is meant by ‘social capital’. Certainly, this could be a reasonable interpretation of 6 See Foley and Edwards 1999, Adler and Kwon 2002 and Claridge 2012. the term. However, I don’t use it here because ‘social capital’ ‘Social capital’ was used by Putnam to mean membership of non-state so- cial organizations, excluding the Church (Putnam et al. 1993). But many has been subject to so many interpretations. As Dolfsma and others have used it to refer to the quantity of interactions among people.

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Table 3: The domains of social cohesion

Domain Description

Common values and a civic culture Common aims and objectives; common moral principles and codes of behavior; support for political institutions and participation in politics

Social order and social control Absence of general conflict and threats to the existing order; absence of incivility; effective informal social control; tolerance; respect for difference; intergroup cooperation

Social solidarity and reductions in wealth disparities Harmonious economic and social development and common standards; redistribution of public finances and of opportunities; equal access to services and benefits; ready acknowledgement of social obligations and willingness to assist others

Social networks and social capital High degree of social interaction within communities and families; civic engagement and associational activity; easy resolution of collective action problems

Place attachment and identity behaviour Strong attachment to place; intertwining of personal and place identity

Source: Forrest and Kearns 2001.

Social cohesion is a complex concept that is impossible to One way of measuring social cohesion is by cohesive define precisely. According to Ranci (2011): “This is a fuzzy outcomes—i.e., a cohesive society is one in which people concept, including heterogeneous dimensions such as social have strong bonds with each other and with society at large; integration, solidarity, inequality, place attachment or iden- high levels of trust in each other, irrespective of group mem- tity” (p. 2,795). The concept has its origins in Durkheim’s bership; high levels of trust in the government and strong concepts of social solidarity and social integration. Intuitively, national identities. A socially cohesive society would be sig- we understand it as a situation where people feel a strong nalled by the presence of such bonds and trust, and by the sense of belonging and trust each other. In a multi-ethnic or absence of political and social tensions, and also, obviously, religious situation, this means that national identities are the absence of violent conflict and high levels of criminality. strong (relative to group identities), that trust is strong across Another approach is to identify a lack of social cohesiveness groups as well as within them, and people are not marginal- by the presence of factors likely to cause a poor outcome. This ised, or excluded, in economic or social terms. would include measures of exclusion and discrimination, high This is summarized by Bécares, Stafford et al. 2011: levels of inequalities (both horizontal and vertical), and strong “Social cohesion is a multicomponent concept, group as against national identities. Measures of social cohe- formed of various dimensions which together con- sion would include indicators of inequalities, trust (especially 7 tribute to society’s collective project and well-being across groups) and data on ranking of identities. Clearly, all … common values and a civic culture, social order these elements are relevant to social cohesion, as either (or and social control, social solidarity and reductions in both) contributory factors and defining characteristics. wealth disparities, social networks and social capital, An alternative approach is to identify types of society that and territorial belonging and identity” (p. 2,773). are clearly not cohesive. Three types may be differentiated: 1. A conflict-ridden society. We could include here societies Some authors put the main emphasis on cross-group relation- that actually have had violent conflicts, or ones that appear ships, entailing trust, identities, etc. (Chan and Chan 2006), particularly conflict-prone. High horizontal inequalities while others emphasize inclusion (Dahrendorf 1995). Forrest (inequalities among culturally defined groups, actual or and Kearns (2001) specify multiple domains that contribute perceived) and past conflict would be indicators. Another to a socially cohesive society (see Table 3). indicator might be that, when asked, people rank their par- From these definitions, three distinct elements of social ticular identities (such as religion or ethnicity) above their cohesion emerge: (a) low disparities and marginalization, national ones in importance, or alternatively, that people and the absence of discrimination (broadly ‘social inclusion’), (b) the presence of strong bonds that people have with one another; and (c) the result of these two elements, i.e., ‘solidar- 7 See Langer and Stewart (2013) for a proposed measure incorporating ity’ and the absence of inter-group conflict. these three elements.

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do not attach importance to the identities and historical • the suicide rate; and relations they share with other people and groups. • deaths in organized armed conflict. 2. A silo society. This is a society where groups are not in con- flict, but there is very limited interaction across them. An Some of these measures, however, might be taken as indica- indicator would be a low level of intergroup interaction. tors of freedom (such as suicide), however, and they may each be the product of reporting. For example, on the homicide 3. A hierarchical society. This is a society with strong hier- rate, “The comparison of intentional homicide figures between archical divisions, based on class or wealth. Indicators countries and regions is, to some extent, a comparison not only would be measures of vertical inequality, low rates of of the level of intended killing of persons, but also of the extent social mobility and low levels of interactions across classes. to which countries and regions deem that a killing should be classified as such. In essence, societies define those killings that As argued above, the concept of social cohesion implies a it perceives as acceptable and those that it does not.”8 society in which social interactions cross cultural and economic groups, i.e., ruling out the silo society, the hierarchical society A COMPREHENSIVE ASSESSMENT OF SOCIAL and the stratified society. To assess this, one would need to ASPECTS OF HUMAN DEVELOPMENT consider social interactions and social mobility across cultural A full assessment of social aspects of a society then involves groups (i.e., groups defined by ethnicity, race and/or religion) three types of measurement and description: and across class groups (defined by class or caste). Measurement of social interactions should include both the total quantity of • A cataloguing of social institutions and social norms; interactions in society and the cross-group interactions in a • Measurement of social cohesion including indicators of number of dimensions including socializing; marriage; mem- inequalities, trust and identity; and bership of social institutions; trust in others, and across groups; and social mobility of members of different groups. • Assessments of societal outcomes. A socially inclusive society is one in which no group or groups suffer multiple disadvantages (economic, political, When it comes to social cohesion and social inclusion, we social or cultural). A society with a high degree of social exclu- are not talking about the relationships between individuals sion would not qualify as socially cohesive, since it would be and social institutions (as depicted in Figure 1), but about hierarchical and stratified. Large horizontal inequalities are how individuals relate to others in society (the extent and associated with social exclusion and a lack of social cohesion nature of social interactions, trust among individuals and and may raise the risk of violent conflict (Stewart 2001; Østby groups, inequalities among individuals and groups, and exclu- 2003; Murshed and Gates 2005; Stewart 2008; Cederman, sion). Figure 2 illustrates features of social cohesion. Weidmann et al. 2011). Measurement of social exclusion/ inclusion and horizontal inequalities should, in principle, include both objective indicators by group (of income, assets, 4. HOW DOES A FOCUS ON SOCIAL social service access, political access and participation, and INSTITUTIONS AND COMPETENCIES cultural recognition) and, where possible, perceptions of ine- AFFECT APPROACHES TO HUMAN quality by group (Mancini, Stewart et al. 2008; Langer and DEVELOPMENT? Mikami 2011). High vertical inequalities (across individuals) are also likely to be an indicator of hierarchy. 1. It is helpful to treat the question of how a focus on social Besides these measures of social cohesion, there are some institutions affects approaches to human development on aggregate social outcome indicators that may also be helpful four levels: analytic, empirical, policy and evaluation. At the in pointing to how satisfactory life is from a social perspective. level of analysis, this paper suggests that those concerned These include: with the capabilities and human development approaches • the homicide rate and other measures of criminality; should go beyond the individual, where so much of the

• the number of single parent families;

• the number of abandoned children; 8 See: www.unodc.org/documents/data-and-analysis/IHS%20methodology.pdf, accessed 13 February 2012.

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Figure 2. Social cohesion High social cohesion Low social cohesion

T/ T Group A T/ T Group B Group A T Group B

T/ T T/ T T/ T T/ T T/ T T/ T Group C T/ TGroup D Group C Group D T/ T T/ T T/ T T/ T T/ T Group E T/ T Group F Group E T/ T Group F

Groups may be divided by religion/ethnicity/gender/region/class/caste.

Lines represent signi cant quantity of social interactions. Ts represent trust in other groups (higher where T is larger).

work to date has been focused, and investigate the ques- institutions may (in differing combinations) be con- tions covered briefly in this paper, including those related to: sistent with good outcomes;

ŊŊ The social formation of individual character and ŊŊ Catalogue social institutions in a number of coun- behaviour tries, and identify the conditions that give rise to ‘good’ social institutions from a human development ŊŊ Social constraints on individual autonomy; perspective; and ŊŊ Social institutions and competencies and their effects ŊŊ Explore the relationship between indicators of social on human development, in particular; cohesion (interactions, trust, inequalities, etc.) as well ŊŊ The role of norms in influencing behaviour; as other factors9 with human development outcomes, ŊŊ How norms are formed; including social outcomes, such as homicide, crimi- nality, suicide, etc. ŊŊ The formation of groups and incentives and con- straints on collective action; 3. Potentially, this approach opens up a large arena for policy, though before arriving at policy conclusions the ŊŊ How groups affect political and policy outcomes; and analytic and empirical work just noted is essential. Policies ŊŊ The determination of the three elements that make could include those to: up social cohesion or society as a whole (trust, ine- ŊŊ Promote social institutions (including norms) that qualities and identities) and how these affect human would support capabilities, e.g., in relation to regu- development outcomes. lations and norms, policies need to support health- 2. Empirical work is needed to: promoting behaviour and discourage or even outlaw health-destroying behaviour; similarly, with respect ŊŊ Identify the nature of social institutions and norms that are associated with improvements in capabili- ties and human development, recognizing that dif- ferent institutions emerge historically, and a range of 9 Of course, political and economic conditions may also influence these outcomes.

UNDP Human Development Report Office 14 OCCASIONAL PAPER 2013 /03 Conclusions

to discriminatory behaviour, whether by gender or by 7. Making an aggregate assessment of the strength of social ethnic or other groups; institutions country by country is difficult due to deficient data and also because different indicators may move in dif- ŊŊ Facilitate empowering social institutions, notably ferent directions (Ranis, Stewart et al. 2009). Yet it would through the poor forming groups for production and be desirable to complement information on economic and bargaining, such as cooperatives, borrowing associa- political aspects facilitating human development with tions and workers’ unions, with a particular focus some indicator(s) of the strength of social aspects. on promoting women’s groups because of women’s relative lack of power;

ŊŊ Promote socially cohesive outcomes, including by CONCLUSIONS encouraging interactions across groups (e.g., via the education system and/or the media, or through spa- This paper has sketched how social institutions affect capa- tial planning and/or transport); and bilities in an instrumental way. But further than that it has ŊŊ Reduce horizontal and vertical inequalities. examined how they also affect the very choices people make and the things they value, and thereby limit the autonomy of 4. Data and evaluation. Data are essential for such research. the individual, posing major theoretical challenges as to how This is an area where systematic cross-country data are to identify ‘good’ influences and ‘good’ choices. The paper particularly rare. Data are required to permit a picture of has explored how collective action—a critically important the ‘social health’ of each country, which would include the social institution—can affect the design and implementation nature and quantity of social institutions, social interac- of policies relevant to human development. Finally, it has con- tions, trust and social mobility, inequalities and social out- sidered a holistic approach, in which relations among people comes. These data are not included in national accounts, and institutions determine social cohesion and social inclu- nor recognised as an important omission. Nor are they sion, both important besides particular social institutions for included in the data on human development recorded in developing a peaceful, sustainable and cohesive society. the annual Human Development Reports. Social interactions are a quintessential part of human life, 5. Nonetheless, a considerable amount of evidence is avail- and their quantity and quality determines what we might call able from World Value Surveys and barometer surveys, a person’s relational capabilities following Roy 2012 (i.e., which provide some evidence of trust in others, sometimes those capabilities an individual may enjoy that involve rela- by group. But inconsistences in the questions asked over tions with others). Moreover, we all live embedded in social time reduce the usefulness of these sources (Langer and institutions—in the family, the neighbourhood, the nation. Stewart 2013). In some countries, there are data for cross- These and the social norms we face deeply affect the nature group marriages, but generally not other cross-group and quality of our daily life. In other words, we can’t get away interactions. Global crime statistics are available for some from society and retreat into a monadic existence of autono- outcomes (homicide, suicide, criminality, etc.), while a mous individuals. And if we did, we would be immeasurably number of sources provide data for . impoverished. That being so, the study of and policy towards Data on vertical inequality are widely available, if not social institutions must form an essential component of our necessarily accurate. Data on horizontal inequalities can approach to human development. be calculated from many of the Demographic and Health Surveys, and by region, as well as from the Ethnic Power Relations data set, and geocoded data sets developed by Cederman, Weidmann et al. (2011). Inequalities across demographic groups (by gender and/or age) are often indicated in national accounts.

6. A major requirement is to promote the collection of appro- priate ‘social’ data on a systematic cross-country basis.

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ANNEX: BROAD DIMENSIONS OF HUMAN In relation to the world median, country performance on DEVELOPMENT ACROSS COUNTRIES each of the four dimensions was classified into high, medium and low categories. The results showed much inconsistency in Empirical research (Ranis, Stewart et al. 2009) attempted to performance, with only two countries being classified as high classify the performance of countries in relation to (somewhat on all dimensions (Costa Rica, and Trinidad and Tobago), six as crude) measures of basic human development, and economic, medium on all (Bolivia, Brazil, Nepal, Saudi Arabia and Turkey), social and political performance, measured as follows: and five as low on all (Chad, Democratic Republic of Congo, Basic human development, measured by the under-five Iraq, Sierra Leone, Somalia and Zimbabwe, with incomplete mortality rate; economic aspects, encompassing income per data on all countries in this category except Sierra Leone). capita, unemployment, growth in per capita income and the Table A.1 shows the number of countries, by region, that GDP cycle; social and community relations, including a quite did particularly well (or poorly), i.e., were ‘superior’ or ‘infe- large and disparate set of variables comprising a measure rior’ on certain dimensions. The sharpest differences were of income distribution, the perceived importance of family found for sub-Saharan Africa, where both social and political and friends, tolerance of neighbours and gender empower- performance exceeded economic and basic human develop- ment, and (negatively) the male suicide rate; and political ment performance in a number of countries. freedoms and stability, measured by an index of political and civil liberties, a measure of the rule of law and one of collec- tive political violence.

Table A.1: Superior or deficient performance* by dimension

Sub-Saharan Latin American East and South and Middle East Eastern Europe Africa and the Caribbean Southeast Asia Central Asia Social superior 6 0 1 0 1 0 Social deficient -1 -2 0 -1 0 -4 Political superior 10 0 2 0 0 0 Political deficient 0 -1 0 -1 0 -2 Human development superior 2 2 0 0 0 2 Human development deficient -5 0 0 0 -1 0 Economic superior 0 1 1 0 1 0 Economic deficient 0 -3 0 0 0 -1

*A country was identified as superior in one dimension if it was high in one dimension and medium or low in the others, and deficient in a particular dimension if it was classified as low in one dimension and medium in the others, or medium in one dimension and high in the others.

UNDP Human Development Report Office 16 OCCASIONAL PAPER 2013 /03 References

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